Buying overvalued stocks is not recommended. When the fund is overvalued, it means that the fund has no investment value. Investors take higher risks when buying funds, and the growth space of funds is smaller, and the probability of gains is smaller and the probability of losses is greater. It is better to buy a fund at a low valuation, which has small risk, large room for fund growth and high probability of income.

Fund valuation is to evaluate the assets and liabilities of the fund according to a certain price, and the fund valuation mainly determines whether the fund has investment value.